Wal-Mart Stores Inc.’s customers were latecomers to online shopping. Now increasingly they’re trolling for deals at Amazon.com Inc., putting pressure on Wal- Mart to fix its lagging e-commerce operation. Five years ago, the world’s largest retail chain didn’t have to worry much about the world’s largest online mall. After all, only about a quarter of Wal-Mart customers shopped at Amazon, according to data from the research firm Kantar Retail. Now half say they do. Bloomberg

Over the past decade, the Japanese fashion chain Uniqlo has become among the most successful retailers in the world. Its success is due in large part to the fact that it has found a way to sell basic stuff that is not only affordable but also stylish and durable. And there’s something else that makes Uniqlo distinctive: it hires a lot of people, and spends a lot of time training them. The New Yorker

Tiffany & Co.’s earnings edged down 1.6% as a higher tax bill chipped into a modest increase in sales at the luxury-jewelry retailer.WSJ

U.S. luxury goods maker Tiffany & Co. has launched a counter-claim against Swiss watchmaker Swatch Group over a failed alliance. Swatch, in a statement Monday, said Tiffany is seeking 541.9 million Swiss francs ($589 million) from Swatch after the Swiss company and its affiliate, Tiffany Watch Co. Ltd, claimed 3.8 billion francs in damages from Tiffany & Co. at the end of December 2011. WSJ

Uniqlo, the Japanese T-shirt maker, wanted to change its image, which was seen as drab in its homeland. Part of the solution: recreating the sheen of its New York Fifth Avenue store in Tokyo’s most expensive fashion district—rebranding from the outside in. Bloomberg

China is the world’s largest manufacturing power. Its factories have made so much, so cheaply that they have curbed inflation in many of its trading partners. But the era of cheap China may be drawing to a close. Costs are soaring, starting in the coastal provinces where factories have historically clustered. Increases in land prices, environmental and safety regulations and taxes all play a part. The biggest factor, though, is labor. The Economist

J.C. Penney Co. says Myron E. Ullman III is stepping down as chairman and will be replaced by board member Thomas Engibous on Jan. 28. AP

Tiffany & Co. cut its full-year earnings forecast after a holiday season dampened by cautious spending the U.S. and Europe, adding to worries that economic uncertainties in the regions have dashed demand from luxury shoppers. WSJ

Nordstrom Inc. is adjusting its loyalty program to make rewards less expensive to come by, the high-end department store’s latest effort to draw a broader range of buyers for luxury goods. WSJ

With a Christmas season that has seen record e-commerce sales coming to a close, returns should hit an all-time high on Tuesday for United Parcel Service. The delivery company expects to handle more than 550,000 returns on Tuesday, a record, and up almost 8 percent from a year earlier. Several other days during the first week of 2012 will also top half a million returns, UPS said. Reuters

Online retailing offers convenience and economy—but few of the social advantages of a busy shopping area.The Guardian So is online shopping (and Amazon) for men, and malls for women? Forbes

About Heard on the Runway

Heard on the Runway provides news about the fashion and retail worlds, as well as fresh analysis and dispatches from the bi-annual fashion shows in New York, Milan and Paris. For complete style coverage, go to WSJ.com/Fashion.